During the height of Melbourne’s longest lockdown in July of 2020, corporate lawyer turned Founder and CEO Kate Dillon, dismayed by the number of local businesses on the brink of shutdown, including her own online luxury handbag business, She Lion, embarked on an ambitious project to ‘support local’.
While “Support Local” has increasingly been the focus of many campaigns, Kate was motivated to find a wholly tangible way to give back to the local business community.
“We were in the middle of a two-week lockdown in March that turned into almost 6 months. The collective mood across Melbourne was pretty depressing. The inspiration actually came about after I posted an image of myself in an empowering slogan tee. I received so many positive comments and recognised I could create something to support Melbourne makers AND offer a pick-me-up to my own customers,” Kate Dillon said.
The concept: An end to end Australian supply chain for a new range of garments made from natural fibres, with as many processes as possible completed here in Melbourne.
Intended to empower and motivate customers, while directly supporting local Melbourne manufacturers and businesses Dillon decided on launching with a quality line of 100% cotton sweatshirts featuring the slogans: “Support Local” and “Actually, I can.”
“I put out a cold call to Melbourne family-run clothing manufacturer, CGT Australia about the concept and managed to speak with the Director, Phillip Skorsis. He proceeded to spend hours guiding me through the process, sharing industry knowledge and completely opening his book of local contacts. I was floored by the generosity and thrilled with the response.” said Kate.
What followed was a collective effort in overwhelming kindness and compassion. In total, 22 businesses from a Melbourne knitting mill through to a Melbourne distribution centre came together to bring the 100% local project to life.
“We want to invest a million dollars into new equipment so we can continue to become more high-tech and environmentally friendly, but we can’t do so if processes keep getting shifted offshore. A project like this gives us hope for the future of the industry” said Sam Veskoukis from Richmond Industrial Laundry.
Most Australian consumers will have very little understanding of how many different businesses are involved in the supply chain of any garment. Even if an item is designed, and constructed in Australia, it is very often milled, cut, dyed, graded and sampled offshore as labour costs can be far cheaper. To truly ‘support local’, each and every element in the manufacturing that could be kept in Australia was, even in the face of three different lockdown periods for Melbourne that brought production to a complete halt in September 2020.
“It’s essential to the survival of Australian business that we shop in our own backyard and source products from home. There are so many companies still manufacturing in Australia and it is important people know how to support them and where to find them,”said Tanya Cahir from Melbourne distribution centre, Direct Mail Corporation.
Though the concept for the project came about in June ‘20, it has taken nearly 12 months to come to fruition. The many lockdowns the Melbourne community faced in 2020 (and now in ‘21) saw drastic changes to the way many people work. Most meetings to troubleshoot tricky pattern issues, fittings that would normally be in-person and sampling were often done remotely with items being shipped back and forth. Each manufacturer faced its own specific logistical and personnel challenges.
“In March 2020 we had to consider how to continue operating through the pandemic. I jumped at the opportunity to help Kate at She Lion to create these sweatshirts because ‘support local’ is more than just a slogan and as a family-owned and run business, it’s personal.”said Director of CGT Manufacturing Australia, Phillip Skorsis.
That’s why, in the face of many logistical delays, remote working challenges and everything that living through lockdowns threw at the team, Kate remained dogged to stay true to the mission. Because supporting local is personal and essential to the recovery of the local economy and actually… she could make it happen.
A snapshot of the Australian based businesses involved to bring the project to life:
Melbourne fabric miller and manufacturer – TopKnit Fabrics Australia
Melbourne designer – She Lion Group Pty Ltd
Melbourne pattern maker – Clothe Creative Pty Ltd
Melbourne dark room sampler (during lockdown) – Stella Park Design
Melbourne grader – William Stanley; Markit Apparel
Bronwyn Reid highlights challenges for SMEs in global supply chains and the need for national trade resilience
In Short:
– Bronwyn Reid highlights challenges SMEs face in global supply chains, including unclear requirements and limited capacity.
– Trust and ESG compliance are critical for SMEs, requiring large companies to simplify their demands for better relationships.
Bronwyn Reid from Small Company, Big Business highlights the challenges that small and medium-sized enterprises (SMEs) face within global supply chains and emphasizes the importance of building national trade resilience.
Reid identifies a “gap effect” in the relationship between large firms and SMEs, consisting of three key disconnects. Large companies often impose stringent requirements on SMEs, which may lack the resources to meet them, resulting in unclear expectations and frequent changes. Many SMEs struggle to keep up due to limited capacity and staffing constraints.
Significant potential
She stresses that national trade resilience depends on the depth of supply chains, not just cost efficiency. Shallow supply chains are vulnerable, as demonstrated during the disruptions caused by COVID-19. In Australia, the economic relationship between large companies and SMEs is valued at around $500 billion, highlighting significant potential to strengthen these partnerships.
Trust has become a critical factor in supply chain relationships, alongside delivery times and pricing. According to the Edelman Trust Barometer, 78% of people trust their employers, while only 64% trust businesses more broadly. Environmental, Social, and Governance (ESG) compliance has also become essential, but SMEs face challenges navigating complex and shifting requirements. Reid advises SME owners to simplify their approach to ESG, while urging large companies to adjust their expectations to better support smaller partners.
Yannick Ieko highlights co-living as an evolved, secure housing solution for mature renters in Australia’s tight market
In Short:
– Co-living is an upgraded rooming house offering safe, shared accommodation for mature tenants needing housing.
– Properties accommodate up to nine households and feature hotel-like suites alongside shared living spaces.
Co-living is emerging as a smart, modern alternative to traditional housing, offering safe and high-quality shared living spaces.
Unlike student accommodations focused on socializing or parties, this model is designed for mature individuals navigating Australia’s tight housing market and seeking affordable, comfortable homes.
A typical co-living property accommodates up to nine households while retaining the exterior of a standard home. Interiors are thoughtfully designed to balance privacy and community living, featuring five to nine hotel-quality suites, each with a spacious bedroom, en-suite bathroom, and kitchenette. Common areas include a main kitchen, living room, and outdoor space, creating a welcoming environment for residents to connect.
High demand
According to Yannick Ieko from The Harmony Group, co-living offers cost-effective housing solutions for tenants, with room prices averaging around $200,000 in desirable locations. Investors also benefit, as properties in prime areas tend to appreciate over time. Multiple households renting simultaneously generate strong cash flow, while the model’s low vacancy risk makes it a relatively safe investment. High demand and limited supply further enhance its appeal to property buyers.
Regulatory requirements classify co-living houses as 1B residential dwellings, ensuring safety standards are met while streamlining construction and approval processes. One of the main challenges for expanding co-living is the limited availability of specialized funding from lenders.
Jimmy Wu discusses Sendle’s closure and its negative impact on small businesses and competition in Australia’s logistics sector
In Short:
– Sendle’s closure highlights challenges for Australian startups and small businesses, reducing competition and raising prices.
– Small businesses struggle with Australia Post’s dominance, lacking volume for bargaining and support.
The recent closure of Sendle has cast a spotlight on the increasing pressures facing startups and small businesses in Australia’s logistics sector. As competition shrinks, delivery costs are rising and service levels are declining, leaving businesses to navigate a more challenging landscape.
For many small enterprises, reliable logistics is critical—not just for day-to-day operations, but for the growth of their ecommerce operations.
Jimmy Wu from Zappy Australia joins Ticker to explain how these changes are impacting small businesses differently from larger players. Startups often face tighter margins and fewer alternatives, meaning that even small increases in shipping costs or delays in service can have outsized effects. “For smaller businesses, every delay or extra cost compounds quickly,” Wu explains. “This can influence customer satisfaction, cash flow, and ultimately the ability to scale.”
Potential solutions
The current situation echoes earlier exits in the industry, such as Temando in 2019, which also left gaps in logistics services for smaller enterprises. Wu suggests that the future of ecommerce growth in Australia will depend heavily on innovation in logistics, from more flexible delivery options to technology-driven efficiency improvements. Potential solutions may include collaboration between smaller logistics providers, increased use of digital platforms, and alternative shipping models tailored for startups.
As the sector evolves, small businesses must remain nimble and proactive in adapting to these challenges. Understanding the shifting logistics landscape and exploring innovative solutions will be key for companies looking to thrive in Australia’s increasingly competitive market.